Cannabis company Canopy Growth plunged 14% in early trading Thursday after missing its lowest revenue estimate for its fiscal first-quarter.

The cannabis company reported a $1.28 billion loss for the quarter, with $1.2 billion of the hit coming from the extinguishing of warrants held by Constellation Brands after amending the two companies’ Investor Rights Agreement. Constellation took a 38% stake in Canopy in October 2018.

Canopy is expected to bolster its margins in coming quarters as processing and cultivation of its product reaches planned capacity, CEO Mark Zekulin said in the earnings report.